Business Ethics test 1: multiple choice

All of the following are deontological frameworks except 1) Ethical egoism 2) Existentialism 3) Contractarianism 4) Kant's Ethics

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All of the following are strategic configurations related to corporate philanthropy except 1) Targeted philanthropy 2) Peripheral philanthropy 3) Dispersed philanthropy 4) Strategic philanthropy

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From a legal standpoint, _____________ would address the "motive" behind the actions instead of just being satisfied with a description of the actions. 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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How is the price of a meal determined at a Panera Cares Café? 1) Customers decide how much to pay for their meal 2) Meal prices are determined based on the cost of meal preparations 3) Café managers set the prices of the meals each day based on ingredient costs 4) Top management at Panera set a standard price of meals for all café locations

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How is the price of a meal determined at a Panera Cares Café? 1) Customers decide how much to pay for their meal 2) Meal prices are determined based on the cost of meal preparations 3) Café managers set the prices of the meals each day based on ingredient costs 4) Top management at Panera set a standard price of meals for all café locations

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Social responsibility is 1-an organization's obligation to maximize its positive effects and minimize its negative effects on stakeholders. 2-principles and standards that guide behavior in the world of business. 3- a business's responsibility not to pollute the environment. 4-a business's responsibility to manufacture products that function properly. 5-charitable contributions made by a business to enhance its image.

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Supporters of _______________ state that this theory is the only one that captures the essence of benevolent behavior. 1) Utilitarianism 2) Sidgwick's dualism 3) Ethical egoism 4) Kant's ethics

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The CEO of FreeTrade USA is ____________ who stated that the program allows the farmers to deal directly with the wholesaler, eliminating up to five different middlemen that could include a local buyer, a miller, an exporter, a shipper, and an importer. 1) Paul Rice 2) Owen D. Young 3) Sandy Weil 4) A.A. Berle

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The ____________ principle is based on the belief that it is the employee's responsibility to honor the commitments he or she has made to the firm. 1) Reliability 2) Responsiveness 3) Selfrespect 4) Transparency

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The concept of triple-bottom line was first introduced by _______________ in his book Cannibals With Forks: The Triple Bottom Line of Twenty-First Century Business. 1) John Elkington 2) Adam Smith 3) Milton Friedman 4) Michael Porter

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What did Dante call love of justice perverted to revenge and spite? 1) Wrath 2) Envy 3) Pride 4) Greed

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Which coffee shop paid $1.26 per pound for fair trade coffee beans in the case? 1) Mountain People's Co-Op 2) Whole Foods 3) Costa Coffee 4) Starbucks

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Which of the following is NOT one of the three potential conflicts of interest that can take place during the audit process? 1) Auditor-shareholder conflict of interest 2) Auditor-firm conflict of interest 3) Shareholders-management conflicts of interest 4) Self-interests-professional standards

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Which of the following is NOT one of the three types of moral values according to Archie Carroll? 1) Emoral 2) Immoral 3) Amoral 4) Moral

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_ is based on the principle of utility where each person's actions add to the overall utility of the community impacted by his or her actions. 1) Utilitarianism 2) Sidgwick's dualism 3) Ethical egoism 4) Kant's ethics

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___________ can be defined as the values that an individual uses to interpret whether any particular action or behavior is considered acceptable and appropriate. 1) Ethics 2) Validity 3) Reliability 4) Commitment

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_____________ is the process of understanding the reasons a course of action that may have an ethical impact took place. 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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______________ is geared toward public companies and was established to help increase transparency, integrity, and accountability of public companies. 1) Sarbanes-Oxley Act 2) Foreign Corrupt Practices Act 3) Robinson Patman Act 4) Sherman Antitrust Act

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________________ uses the potential synergies that can be created between their operational activities and their philanthropic activities. 1) Constricted philanthropy 2) Peripheral philanthropy 3) Dispersed philanthropy 4) Strategic philanthropy

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All of the following are criteria that revenues must meet according to the SEC Staff Accounting Bulletin No. 101 except 1) Persuasive evidence of an arrangement 2) Delivery or services planned but not necessarily rendered 3) Price fixed or readily determinable 4) Collectability reasonably assured

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All of the following are types of tests that an individual can use to evaluate the integrity of his or her actions except 1) Publicity 2) Reliability 3) Trusted friend 4) Golden Rule

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Based on the findings of the 2011 National Business Ethics Survey, what is not a negative trait for millennials? 1) Lacking literacy fundamentals 2) Accept diversity 3) Lack loyalty to a single organization 4) Short attention span

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In 2002, the following firms except one were awarded the Ig Nobel Prize for the development and application of the concept of "imaginary numbers" that are used in creative accounting in the business world, except 1) Enron 2) ExxonMobil 3) Arthur Andersen 4) WorldCom

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In the opening case, HSBC held more than _______ accounts with connections to the United States. 1) 400 2) 4,000 3) 40,000 4) 100,000

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Sidgwick's dualism argues that _______________ is necessary in an individual's actions. 1) Utilitarianism 2) Rational benevolence 3) Ethical egoism 4) Kent's ethics

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The _____________ principle is the belief that employees have a responsibility to supply information when it is requested by various stakeholders. 1) Reliability 2) Responsiveness 3) Self-respect 4) Transparency

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The _____________ test is also known as the Golden Rule. 1) Reliability 2) Reciprocity 3) Publicity test 4) Universality

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The profit from Panera Cares Café is used to 1) Open new cafes 2) Fund training programs 3) Increase wages 4) Publicize Panera Bread

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What allows animal instincts to control the appetite of an individual? 1) Lust 2) Gluttony 3) Greed 4) Pride

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What percentage of the 1,700 executives from 43 countries surveyed by Ernest and Young stated they would be willing to make cash payments in the form of a bribe in order to obtain business from a customer? 1) 5% 2) 15% 3) 25% 4) 45%

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Which of the following is not one of the three types of ethical examinations? 1) Descriptive 2) Constructive 3) Analytical 4) Normative

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Which of the following is not one of the three types of ethical examinations? 2) Constructive 3) Analytical 4) Normative

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Which of the following is used when an observer wants to understand the cause of events that generated the ethical issue? 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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Which of the following types of firms recognizes the current and future benefits of interactions with various stakeholders? 1) Skeptical firm 2) Pragmatic firm 3) Engaged firm 4) Idealistic firm

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Which philosopher stated that a person is not complete until that person is a contributing member of society? 1) Socrates 2) Aristotle 3) Plato 4) Napoleon

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___________ is based on the underlying belief that the only person who can determine right and wrong is based on the free will of the person making the decision. 1) Intuitionism 2) Existentialism 3) Contractarianism 4) Kant's Ethics

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____________ is the presentation of facts related to specific ethical actions of an individual or organization. 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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_____________ can be defined as the collective values of a business organization that can be used to evaluate whether the behaviors of the organization's collective members are considered acceptable and appropriate. 1) Validity 2) Business ethics 3) Self-efficacy 4) Groupthink

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______________ is the purposeful intervention in the process of reporting income numbers with the objective of dampening the fluctuations of those numbers around their trend. 1) Stakeholder management 2) Income smoothing 3) Cookie jar accounting 4) Off-shore financing

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______________ is when an individual is selective pertaining to the information given to him or her when a decision needs to be made. 1) The halo effect 2) Selective perception 3) Plausible deniability 4) Escalation of commitment

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______________ occurs when the decision maker forms a bias toward individuals in the same group as the decision maker. 1) Implicit prejudice 2) Ingroup favoritism 3) Reciprocity 4) Conflicts of interest

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attempted to resolve the fundamental difference of whether the actions for one's self benefit impact just the individual or others. 1) Utilitarianism 2) Sidgwick's dualism 3) Ethical egoism

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he Dutch tax shelters are viable only to artists who are _______________. 1) U.S. citizens 2) Only Dutch citizens 3) Not U.S. citizens 4) Only German citizens

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ntegrity is derived from the Latin word integri, which means ______________. 1) Reciprocity Correct Response 2) Wholeness 3) Commitment 4) Reliability

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the decade of the ______________ was a time when companies began to cover up their wrong doings rather than deal with the issues head-on. 1) 1960s 2) 1970s 3) 1980s 4) 1990s

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A(n) _____________ manager is a manager who would be considered ethically neutral and who does not focus proactively on ethical issues. 1) Emoral 2) Immoral 3) Amoral 4) Moral

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According to the three-dimensional model of corporate performance presented by Archie Carroll, all of the following are questions that should be asked except 1) What components should be included in the definition of corporate social responsibility? 2) What are the overall external social issues that the firm must acknowledge? 3) How can the firm maximize profitability? 4) How will the firm address the social issues that affect its operations?

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All of the following are principles on which the American Institute of Certified Public Accountants current code of conduct is based except 1) The public interest 2) Objectivity and independence 3) Management interest 4) Due care

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All of the following represent one of the thirteen behaviors that can help identify the level of integrity in individual action except 1) Reproaching unjust acts 2) Possessing humility 3) Maintaining reciprocity 4) Taking responsibility

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As a consequence of the French government investigation following receipt of eight DVDs of encrypted data, $250 to $300 million was recovered from the proceeds of 1) Illegal arms sales 2) Money laundering 3) Tax evasion 4) Blood diamond extraction

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Auditors are considered the ______________ for the stakeholders. 1) Influencers 2) Decision makers 3) Gatekeepers 4) Specifiers

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Based on an audit done by Verité in 2004, ______________ of audited firms in India were in violation of minimum wage rules. 1) 21% 2) 36% 3) 60% 4) 67%

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One of these terms is not a form of insider trading, that is, using nonpublic information to make decisions based on an individual's self-interests rather than those of the firm. 1) Traditional theory 2) Temporary insiders 3) Ponzi schemes 4) Tippers and tippees

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Principles are 1)laws and regulations that guide behavior in the world of business. 2)mores, values, and customs that guide behavior in general. 3)specific and pervasive boundaries for behavior that are universal and absolute. 4)the obligations businesses assume to maximize their positive impact and minimize their negative impact on stakeholders. 5)the mores, values, and customs that parents teach their children.

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Question 13 1 / 1 point The trolley problem is an example of 1) Sidgwick's dualism 2) Kant's ethics 3) An ethical dilemma 4) Ethical egotism

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The Ethics Resource Center helped form the first business ethics office at General Dynamics in ____________. 1) 1965 2) 1975 3) 1985 4) 1995

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The _____________ principle is based on the assumption that every employee should act as a responsible citizen in the community. 1) Reliability 2) Dignity 3) Citizenship 4) Fiduciary

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The _____________ test is based on the scenario of whether the individual is comfortable if his or her actions were publicized in a newspaper or on television. 1) Universality 2) Trusted friend Correct Response 3) Publicity 4) Golden Rule

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The article titled "The Social Responsibility of Business Is to Increase Its Profits" that was published in the New York Times Magazine was written by ________________. 1) Edward Freeman 2) E. Merrick Dodd, Jr. 3) Milton Friedman 4) Archie Carroll

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The average Panera Cares Café will generate revenues of ___________ and profits of __________ per month. 1) $10,000; $300 to $400 2) $50,000; $1,000 to $5,000 3) $100,000; $3,000 to $4,000 4) $500,000; $30,000 to $35,000

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The supporters of ______________ argue that this framework is the only ethical mold that captures the essence of motivation within individuals. 1) Utilitarianism 2) Sidgwick's Dualism 3) Ethical Egoism 4) Kant's Ethics

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The term _______________ is defined by the Merriam-Webster dictionary as "a firm adherence to a code of especially moral or artistic values." 1) Reciprocity 2) Accountability 3) Integrity 4) Commitment

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Traditional examples of violations of the _____________ principle include theft, misappropriation of funds, and wasting resources. 1) Reliability 2) Dignity 3) Property 4) Transparency

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Which of the following are not Section 404 internal controls? 1) An internal code of ethics 2) Independent board members 3) Remuneration committees 4) Creation of processes for reporting concerns

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Which of the following are not regarded as barriers to being an ethical organization? 1) Ill-conceived goals 2) Indirect blindness 3) Fulfilling commitments 4) The slippery slope

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Which of the following ethical frameworks focuses on the duty or obligation in determining whether the actions are wrong or right? 1) Teleological 2) Sidgwick's dualism 3) Deontological 4) Ethical egoism

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Which of the following factors do not characterize high levels of mutual trust in organizations? 1) Positive relationships between managers and subordinates 2) Delegation of decision making 3) High remuneration levels 4) Consistent and predictable behavior

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Which of the following is not a firm-level antecedent in developing fraudulent behavior? 1) The composition of the Board 2) Level of senior management 3) Remuneration strategies 4) Organizational culture

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Which of the following is not an example of fairness? 1) Distributive fairness 2) Reciprocal fairness 3) Procedural fairness 4) Fiduciary fairness

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Which of the following is not one of the key trust factors between the firm and the stakeholder____________? 1) Rational prediction of outcomes 2) Emotion 3) Financial return 4) A clear moral element

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Which of the following is not one of the three teleological frameworks? 1) Ethical egoism 2) Utilitarianism 3) Kant's ethics 4) Sidgwick's Dualism

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Which of the following types of philanthropy configuration is based on a firm having both a low market and low competence orientation? 1) Constricted philanthropy 2) Peripheral philanthropy 3) Dispersed philanthropy 4) Strategic philanthropy

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Which of these is not an example of technology influencing individual cheating behavior? 1) Copying and pasting from a website 2) Inadequately citing or referencing sources 3) The development of individual thought 4) Pasting from generic sources such as Wikipedia

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___________ can be defined as the deviation from the traditional methods used to interpret an accounting rule or standard. 1) Unvalidated accounting 2) Stealth accounting 3) Creative accounting 4) Fragmented accounting

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___________ can be defined as the trait of an individual who has obsessive and compulsive continuous thoughts of sexual desire. 1) Pride 2) Envy 3) Lust 4) Sloth

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___________ is based on the belief that all individuals agree to social contracts to be a member within a society. 1) Intuitionism 2) Existentialism 3) Contractarianism

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_____________ is derived from the Greek word for character. 1) Honor 2) Reciprocity 3) Ethos 4) Norm

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_____________ is the degree to which the issues raised by the stakeholder must be dealt with in a time-sensitive manner. 1) Power 2) Legitimacy 3) Urgency 4) Reliability

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______________ allows employees and managers to address potential ethical issues before they occur. 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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______________ argued that in a free market system in which people are allowed to own property, the executives of the company need to be considered as the employees hired by the shareholders. 1) Edward Freeman 2) E. Merrick Dodd, Jr. 3) Milton Friedman 4) Archie Carroll

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allows employees and managers to address potential ethical issues before they occur. 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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is a prescribed course of action that attempts to ensure that ethical behavior will be followed in the future 1) Analytical ethics 2) Descriptive ethics 3) Normative ethics 4) Constructive ethics

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A firm which has a high level of commitment from both a market and competence orientation is described as having a(n) ________________ configuration. 1) Constricted philanthropy 2) Peripheral philanthropy 3) Dispersed philanthropy 4) Strategic philanthropy

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All of the following are industry-based issues related to the antecedents of fraud except 1) Level of industry concentration 2) Environmental hostility 3) Environmental dynamism 4) Characteristics of the organization

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Based on the findings of the 2011 National Business Ethics Survey, what is not a positive trait for baby boomers? 1) Hardworking 2) Idealistic 3) committed to harmony 4) Tech savvy

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In a global study measuring different components of cheating, it was discovered that 1) Cheating occurred more in corrupt countries 2) Cheating occurred more in developed countries 3) Women were more likely to act upon and support cheating than men 4) Cheating occurred regardless of the level of corruption within a country

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The ______________ principle is based on the assumption that there are no actual or potential conflicts of interest between the employee and the firm. 1) Property 2) Dignity 3) Citizenship 4) Fiduciary

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The ________________ refers to the level of diversity of the markets and customers, which must be addressed by the firm. 1) Level of industry concentration 2) Environmental hostility 3) Environmental dynamism 4) Level of environmental heterogeneity

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The role of financial reporting is needed to provide information to investors and others with 3 out of the following objectives. Which is the odd one out? 1) make investment and related decisions applicable to the firm 2) help determine cash flows in the firm 3) identify economic resources and obligations available to the firm 4) establish employee remuneration packages

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Traditional stakeholders for a firm include all of the following except 1) Employees 2) Suppliers 3) The government Correct Response 4) Competitors

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Which is the odd one out in this list of off-balance sheet items? 1) Retained or contingent interests in assets transferred to an unconsolidated entity 2) Certain guarantee contracts 3) Derivative instruments that are classified as equity Correct Response 4) Board mebmer remuneration schemes

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Which of the following does not constitute cheating? 1) Breaking the rules 2) Advancing self interest 3) Doing whatever it takes 4) Acting responsibly and ethically

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Which of the following is not an example of fairness? 1) Distributive fairness 2) Reciprocal fairness 3) Procedural fairness 4) Fiduciary fairness

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Which of the following is not one of Ross's seven guiding principles? 1) Gratitude 2) Justice 3) Self-Improvement 4) Greed

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Which of the following terms is not a model of corporate social responsibility? 1) Business case model 2) Social values model 3) Syncretic stewardship model 4) Profit maximization model

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_____________ consists of an inspection of the accounting records and other information deemed necessary to express an opinion on the fairness and adequacy of the financial statements. 1) An exploration 2) A compilation 3) A debate 4) An audit

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______________ responsibilities are those responsibilities in which society does not have a clear message to present to businesses as to what their course of action should be. 1) Entrenched 2) Endured 3) Socially balanced 4) Discretionary

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_______________ is based on the belief that additional commitment is needed for a course of action even if this is not the correct course of action. 1) The halo effect 2) Selective perception 3) Plausible deniability Correct Response 4) Escalation of commitment

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_______________ reporting is a concept that is receiving momentum as a way of satisfying the reporting and disclosure needs of various stakeholder groups, although many companies refer to the concept as an accountability report. 1) Double-bottom line 2) Double-top line 3) Triple-top line 4) Triple-bottom line

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